Agriculture

Citibank Targets Nigerian Smallholder Farmers With New Facility

Citibank Targets Nigerian Smallholder Farmers With New Facility, details can be accessed below.

BrandNewsDay reports that Citigroup Inc. has entered a partnership with Lagos-based social enterprise Babban Gona to increase lending to local smallholder farmers in a bid to boost agricultural output in Africa’s most populous country.

Babban Gona will administer a $10 million Citigroup Inc. financing to about 41,000 small farmers in the West African nation, it says in an emailed statement. Even though agriculture contributes a third of Nigeria’s economic output, it attracts less than 5% of bank loans.

READ: Week 47 Pool Result 2022 For Saturday 28 May 2022 – Pool Agent

The facility will enable farmers to improve income by 350% per hectare, Babban Gona said. The organization has extended nearly $200 million in loans to over 280,000 smallholder farmers, since its establishment in 2012.

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The funding forms part of Citigroup’s $1 trillion global commitment to sustainable financing by 2030. The bank will do more and partner with more organizations once projects like that of Babban Gona are successful, Ireti Ogbu, chief executive officer of Citigroup Inc.’s Nigerian unit said.

“There is a pipeline of projects under consideration,” she said.

Citigroup plans to use its worldwide network to help fintech tap into the global financial market over the next few years.

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